The Horizon Company will invest $$56,000$ in a temporary project

that will generate the following cash inflows for the next three

years. Use Appendix B for an approximate answer but calculate your

final answer using the formula and financial calculator

methods.$$The firm will also be required to spend $$13,000$ to close down

the project at the end of the three years.

$$a$.$ Compute the net present value if the cost of

capital is $12$ percent.